Under the agreement, One 97 Communications will transfer its movie ticketing business and sports and events ticketing business to its wholly-owned subsidiaries OTPL and WEPL, respectively, through a slump sale.
Zomato will acquire OCL’s entire ownership stake in OTPL and WEPL through a share purchase transaction, resulting in OTPL and WEPL becoming wholly owned subsidiaries of the food delivery player.
The company further said that it will make an initial infusion through preferential allotment for an amount equal to the slump sale consideration in OTPL and WEPL, which will be used to discharge the consideration payable to OCL for the slump sale.
OTPL’s acquisition cost Rs. 1,264.6 crore is estimated while WEPL’s Rs. 783.8 crore, the filing said.
Zomato has kept an indicative period of up to 90 days to complete the acquisition.
OTPL was incorporated in India on November 23, 2007 and the company is in the business of listing and selling movie tickets and other services. WEPL was incorporated in India on December 21, 2015. WEPL is in the business of listing and selling event tickets and other services
OTPL’s audited turnover as on March 31, 2024 was Rs. 13.14 crore while WEPL’s Rs. 236.03 crores.
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